Home store business encounters impact O2O mode brings "spring breeze"

According to relevant statistics, during the period of 2014-2015, nearly ten well-known home furnishing enterprises closed down or fell into a capital chain crisis. The traditional home business stores faced many survival and development pressures. On the one hand, the upstream property market has not been optimistic in recent years; on the other hand, the rapid development of the Internet has promoted the rapid rise of e-commerce channels. However, the O2O model, which is well integrated online and offline, has brought a “spring breeze” to home furnishing companies.

Home store business is shocked

In recent years, whether it is the new house or the second-hand housing market, the transaction volume has declined somewhat, and the heat of the home building materials industry has also declined. According to the media, the real estate market started to slump in 2014 after the strong performance of the Chinese property market in 2013. In the first four months of 2014, residential sales area decreased by 8.6% year-on-year, sales decreased by 9.9% year-on-year, and new housing starts fell by 24.5%. The gradual decline of the property market has led to the involvement of the home furnishing industry, one of the real estate aftermarkets, and some home furnishing companies are in trouble.

In addition, the rapid development of e-commerce is another cause of the blow to home furnishing companies. In the past ten years, e-commerce has developed rapidly. Some platforms have launched their own home channels, shifting home sales from offline to online. At the same time, some traditional entity home businesses have also opened their own online stores to gradually expand their business. After moving to the online, the home store became the experience hall of the online mall, which led to the continuous diluting of the interests of the physical stores, the increasing difficulty of the offline entities, and even the occurrence of the collapse of the store as mentioned above.

O2O mode brings "spring breeze" to enterprises

In recent years, the O2O model has received a lot of attention from the business community. A large number of traditional enterprises have explored the O2O model. It is hoped that through this model, enterprises will be transformed into e-commerce and gain new development opportunities. In the wave of O2O transformation, the home O2O industry has become a new outlet and has received extensive attention.

Indeed, the price of products in the home industry is very high. The display of online products through online pictures does not allow consumers to have an intuitive concept of the material, comfort and size of the products. They hope to conduct more detailed on-the-spot considerations of household products. Physical stores can satisfy the needs of consumers. In addition, the volume of household products tends to be large. If long-distance transportation, it is easy to cause damage to the products, and high freight costs will greatly increase the cost of shopping for consumers. This makes home O2O have strong localization properties, and physical stores can Meet the product's distribution service, shorten the "last mile" time and cost of the product, and enhance the consumer's shopping experience.

However, as an important part of the real estate aftermarket, the home O2O needs to combine the characteristics of the industry in the process of using the O2O mode e-commerce, balance the relationship between online and offline, and formulate the corresponding e-commerce transformation. Plan to avoid the phenomenon of internal consumption of the enterprise, reduce detours in the O2O model, complete the secondary development of the enterprise, and improve the sales performance of the enterprise.

Concerned about surprises

Label: Home store business encounters impact O2O mode brings "spring breeze"

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